Fiscal multipliers appear to vary greatly over time and space. Based on VARs for a large number of countries, we document a strong correlation between wealth inequality and the magnitude of fiscal multipliers. In an attempt to account for this finding, we develop a life-cycle,...

In this paper we make use of the Blinder-Oaxaca decomposition to examine how the quality of budget institutions affects fiscal performance – Primary Balance and Public Debt – in sub-Saharan Africa. To organize our approach, we categorize sub-Saharan Africa countries according to the two main...

This paper documents the spread of fiscal rules in the developing world and investigates the relation between fiscal rules and procyclical fiscal policy. We find that, since the early 2000s, developing countries outnumbered advanced economies as users of fiscal rules. Rules were adopted either...

The implementation of economic reforms under new economic policies in India was associated with a paradigmatic shift in monetary and fiscal policy. While monetary policies were solely aimed at “price stability” in the neoliberal regime, fiscal policies were characterized by the objective of...

This paper analyzes, structural budget surplus (SBS) rule evidence for the Chilean economy. We examine its effect on macroeconomic variables, such as credit worthiness, output volatility, policy effectiveness, and welfare level gains over time due to economic growth. Thus, SBS becomes a public...

Their strong macroeconomic position when the financial crisis erupted allowed Latin American economies to mitigate its impact through fiscal expansions, reversing the characteristic procyclical behaviour of fiscal policy. At the same time, in the last two decades fiscal rules have been...

While several countries still struggle to return to sustainable growth and Euroscepticism has shown its strength during the 2014 European Elections, Europe is slowly advancing on the path of fiscal integration. Against this background, this paper reassesses how legitimacy is provided and why the...

Past governments in Myanmar presided over a system generally characterized by weak fiscal management, but this has recently changed with the present government restoring a measure of fiscal discipline, reorienting fiscal priorities, and establishing a clear set of fiscal objectives in the...